Group Development Customer development (XLS:) Download thousands Sept. 30, 2018 June 30, 2018 Change Sept. 30, 2018/June 30, 2018% Dec. 31, 2017 Change Sept. 30, 2018/Dec. 31, 2017% Sept. 30, 2017 Change Sept. 30, 2018/Sept. 30, 2017% NETHERLANDS Mobile customers 4,004 3,967 0.9 3,850 4.0 3,876 3.3 Fixed-network lines 227 210 8.1 191 18.8 188 20.7 Broadband lines 227 210 8.1 191 18.8 188 20.7 After successfully repositioning itself in the market, T-Mobile Netherlands posted year-on-year growth of 4.0 percent in the first three quarters of 2018 with its mobile services for consumers and business customers. This increase was mainly due to the new rate plan portfolio introduced in 2017 and to the enhanced market approach it enabled, but also to business customer net additions. The number of customers in the fixed-network consumer portfolio grew by 17 thousand. Development of operations (XLS:) Download millions of € Q1 2018 Q2 2018 Q3 2018 Q3 2017 Change % Q1–Q3 2018 Q1–Q3 2017 Change % FY 2017 TOTAL REVENUE 528 535 544 545 (0.2) 1,607 1,702 (5.6) 2,263 Netherlands 309 318 335 327 2.4 962 1,014 (5.1) 1,355 Profit from operations (EBIT) 148 149 134 343 (60.9) 431 1,417 (69.6) 1,504 Depreciation, amortization and impairment losses (78) (80) (86) (72) (19.4) (244) (215) (13.5) (304) EBITDA 227 228 220 415 (47.0) 675 1,632 (58.6) 1,808 Special factors affecting EBITDA (5) (5) (7) 195 n. a. (16) 937 n. a. 893 EBITDA (ADJUSTED FOR SPECIAL FACTORS) 231 233 227 220 3.2 691 695 (0.6) 915 Netherlands 108 109 104 98 6.1 321 328 (2.1) 421 EBITDA margin (adjusted for special factors) % 43.8 43.6 41.7 40.4 43.0 40.8 40.4 CASH CAPEX (85) (56) (60) (76) 21.1 (201) (215) 6.5 (290) Total revenue Total revenue in our Group Development operating segment in the first three quarters of 2018 decreased by 5.6 percent year-on-year due to the forgone revenue following the sale of Strato effective March 31, 2017. Compared with the prior-year period, revenue at DFMG decreased slightly due to non-recurring effects that canceled out a slight, volume-related increase in revenue. By contrast, at T-Mobile Netherlands, rising mobile handset revenues and growth in the customer base had a positive impact; this was partially offset by the negative effect of the mandatory application of the new IFRS 15 accounting standard. EBITDA, adjusted EBITDA EBITDA decreased from EUR 1.6 billion in the first three quarters of 2017 to EUR 0.7 billion. Regular reviews of our investment portfolio prompted us to sell our stake in Strato and our remaining shares in Scout24 AG last year. The disposals resulted in income recognized as special factors of around EUR 0.7 billion. In addition, the prior-year period had included positive special factors of EUR 0.2 billion originating from a settlement agreement with BT concluded in July 2017. Adjusted EBITDA in our Group Development operating segment was on a par with the prior-year level. Forgone earnings following the deconsolidation of Strato caused a decline. Adjusted EBITDA at T-Mobile Netherlands decreased by 2.1 percent in the first three quarters of 2018 owing to the first-time application of IFRS 15. Adjusted EBITDA at DFMG, by contrast, increased by 4.5 percent year-on-year. EBIT EBIT decreased by EUR 1.0 billion year-on-year to EUR 0.4 billion, due primarily to the same factors described under EBITDA. Depreciation, amortization and impairment losses were higher than in the prior-year period, mainly due to higher capital expenditure on network capacity and quality at T-Mobile Netherlands. Cash capex Cash capex at our Group Development operating segment in the first nine months of 2018 decreased by 6.5 percent year-on-year. We continue to invest continuously in enhancing network capacity and quality at T-Mobile Netherlands. For further details, please refer to our (PDF:) IR Backup (PDF).
